The Aker Kværner group has announced that it had won a USD 120 million contract to build a deep-water Gulf of Mexico oil platform for Chevron Corp.

The Oslo-based group said the deal is for engineering and construction of the Blind Faith semi-submersible platform's hull and mooring system to be used in deep waters of 2,000 meters.

"This contract award represents a breakthrough for Aker Kværner's deep water business," said company President and CEO Mr Inge K. Hansen. "We consider the Gulf of Mexico to be the most competitive deep water market in the world."

The hull is to be delivered in June 2007 for fitting out before it is towed to the field some 260 kilometers southeast of New Orleans.

Aker Kværner is a major supplier of engineering and construction services, technology products and integrated industrial solutions

CSFB raises rating on steel sector
Credit Suisse First Boston raised its rating on the steel sector to overweight from market weight, saying the risk of weak demand for steel next year in the U.S. and the E.U. looks unlikely.

The broker told clients that quarterly price hikes should stick through the first half of 2006. In addition, CSFB said that costs on a net basis look unlikely to rise for the integrated producers.

"As such, we are confident that the third quarter will be the trough earnings quarter, with at least three sequential quarters of earnings improvement to come through from late 2005 into 2006," the broker said.